Schools that fail to comply with FERPA (Family Educational Rights and Privacy Act) regulations risk serious consequences including loss of federal funding, legal repercussions, reputational damage, and disciplinary actions. Violations commonly occur through unauthorized disclosure of student information such as grades, letters of recommendation containing private data without consent, mishandling digital records, improper release of directory information without honoring opt-outs, leaving student records unsecured, failure to provide timely access to education records, and improper disposal of records containing personally identifiable information (PII).
The U.S. Department of Education enforces FERPA and investigates complaints filed by parents or eligible students. While FERPA itself does not allow private lawsuits and generally does not impose direct financial penalties, schools can lose federal funding if they refuse to comply with corrective measures following violations. Non-compliance also exposes schools to potential lawsuits under state privacy laws and harms their public reputation.
Key consequences for schools failing to comply with FERPA include:
- Loss of access to critical federal financial aid programs.
- Legal liability under state laws and potential lawsuits.
- Damage to trust from students, parents, and the community.
- Employee disciplinary actions including suspension or termination.
- Possible loss of accreditation and injunctions to prevent further violations.
To prevent violations, schools must ensure proper safeguarding of student records, obtain consent when required, use secure communication methods, honor student and parent rights to access records, and properly dispose of sensitive information.
In summary, schools failing to comply with FERPA face severe operational and financial risks alongside legal and reputational consequences, making diligent adherence to FERPA regulations crucial for educational institutions receiving federal funding.
